Decision Tree

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Dictionary Says

Definition of 'Decision Tree'

A schematic tree-shaped diagram used to determine a course of action or show a statistical probability. Each branch of the decision tree represents a possible decision or occurrence. The tree structure shows how one choice leads to the next, and the use of branches indicates that each option is mutually exclusive.
Investopedia Says

Investopedia explains 'Decision Tree'

A decision tree can be used to clarify and find an answer to a complex problem. The structure allows users to take a problem with multiple possible solutions and display it in a simple, easy-to-understand format that shows the relationship between different events or decisions. The furthest branches on the tree represent possible end results.
Search results for

'Decision Tree'

  • Using Decision Trees In Finance

    http://www.investopedia.com/articles/financial-theory/11/decisions-trees-finance.asp
    ... Check out 7 Courses Finance Students Should Take.) TUTORIAL: Options Basics Decision
    Tree Basics The basics of decision trees are organized as follows: An ...

  • Portfolio Management Pays Off In A Tough Market

    http://www.investopedia.com/articles/stocks/09/constant-mix-buy-hold.asp
    ... When you think about investing, you have a very long decision tree - the question
    of passive or active, long or short, stocks or funds, China or Brazil and on ...

  • Southern Union Now A Hot Property

    http://stocks.investopedia.com/stock-analysis/2011/Southern-Union-Now-A-Hot-Property-SUG-WMB-ETE-KMI-OKE0627.aspx
    ... Southern Union shareholders would receive Series B units that would yield at least
    8.25%, but there was a somewhat complicated decision tree that could result ...

  • Pin Down Stock Price With Real Options

    http://www.investopedia.com/articles/03/012803.asp
    ... A decision tree must be plotted, showing the different scenarios that could
    develop for a company at various stages in its life. ...

  • Breaking Down Binomial Trees

    http://www.investopedia.com/articles/financial-theory/binomial-trees-black-scholes-model.asp
    ... The binomial model allows the user to visualize the future decision points by looking
    forward on the binomial tree, whereas the Black-Scholes provides an ...

  • The Basics Of Game Theory

    http://www.investopedia.com/articles/financial-theory/08/game-theory-basics.asp
    ... the tree are the payoffs at each respective point, in the format (Player 1, Player
    2). The game is also sequential, so Player 1 makes the first decision (left ...

  • Don't Dump On The Dogs

    http://www.investopedia.com/articles/stocks/09/dont-dump-on-the-dogs.asp
    ... Before you bark up the wrong tree with a decision to sell, spend some time sniffing
    around. You might find that you holdings have the right pedigree after all. ...

  • Retirement Living: Renting Vs. Home Ownership

    http://www.investopedia.com/articles/retirement/07/buy-rent.asp
    ... (For background reading on weighing this decision, read To ... regular maintenance costs,
    equipment failures, or catastrophic occurrences such as a tree falling on ...

  • Top 8 House-Hunting Mistakes

    http://www.investopedia.com/articles/mortgage-real-estate/09/buy-house-emotion-free.asp
    ... to keep your emotions in check and make the most rational decision possible. ... be if
    you had all the wonderful things it offered - the lovely, tree-lined streets ...

  • Johnson & Johnson Surrenders In Stents

    http://stocks.investopedia.com/stock-analysis/2011/Johnson--Johnson-Surrenders-In-Stents-JNJ-BSX-ABT-MDT-PFE-MRK-STJ0616.aspx
    ... If a Dead Tree Falls in the Forest ... ... As a result, JNJ's decision to effectively
    exit the drug-coated stent market is not likely to make a major ripple. ...

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